Aurora Cannabis Board Urges Shareholders to Take No Action on Curaleaf's Hostile $4-Per-Share Takeover Bid

Aurora Cannabis's board urged shareholders to take no action after Curaleaf Holdings formally launched a hostile takeover bid valued at US$4.00 per Aurora share, comprising 0.3463 Curaleaf shares plus US$0.75 in cash for each Aurora share. Curaleaf says the offer represents a 45% premium to Aurora's 30-day volume-weighted average price of US$2.75, or a 110% premium on an ex-cash basis. The bid, which values the deal at roughly US$270 million, came after Curaleaf says repeated attempts to engage Aurora CEO Miguel Martin went unanswered following letters sent on June 23 and July 7.

Curaleaf filed a formal take-over bid circular and said it remains willing to engage constructively with Aurora's board. Aurora confirmed the unsolicited bid on August 19 and advised shareholders to await the board's formal recommendation before acting. Aurora shares rose approximately 21% on the news.